I Don’t Know How to Spell Millionaire, But I is One!

On the show, George shared a story from when he was a young man. So, obviously, this is an old story! He met a gentleman who was very successful in business and real estate investing. But you wouldn’t have known he had a dime to his name.

George said he can still picture this man sitting at the table in his coveralls with his cap. He was a great guy who said something George never forgot.

This man said, “I don’t know how to spell millionaire, but I is one.”

How did he become a millionaire?
He bought something!

Not a new wardrobe. Or a bigger house, a new car, a second house, or a boat.

He bought an income-producing asset. He bought a duplex.

What he bought is important
He put down a small amount of money and found a bank that helped him finance the rest of it. He improved the property by doing minor things like painting, putting down new carpet, and some basic landscaping.

So now he had a property that looked much better. So tenants were willing to pay more to live there. So he increased the rent.

Then he went back to the bank because he was making more money. They gladly refinanced his loan, because the income from the property would support it.

What he did next is even more important

He took this money from the bank and bought another investment property. A slightly bigger one. Which he then improved. He kept doing this over and over again until he became a millionaire. Eventually he owned a whole bunch of things.

What you don’t need to become a millionaire
You don’t have to be that smart to become a millionaire; just be sensible. It also doesn’t take that much money to get started. You don’t have to be a super savvy business person. And you don’t have to have a fancy education, although education is a good investment.

And you don’t have to wear flashy clothes!
 
4 tips that can lead you to a million dollars

#1 – Start small.
Don’t bite off more than you can chew. Assume you’ll lose everything, so don’t invest more than you can afford to lose.

#2 – Know your strengths and weaknesses.

Get help. If you’re handy, find someone who is financially savvy. If you’re financially savvy, find someone who’s handy. If you have time but no money, find a partner with money. If you have money but no time, partner with someone who has the time.

#3 – Make yourself accountable.

The CEOs of the biggest companies in the world answer to a Board of Directors. Get someone who will hold you accountable – be it a mentor, a coach, or a partner.

#4 – Logic, not emotion, rules.

Don’t fall in love with a property. You’re not looking for cute; you’re looking for cash flow. Don’t rent to a tenant because you like him or her; rent to them because of their good credit score.

Our bigg quote today is by Brian Koslow:

“Any self-made millionaire listens for opportunity. The average
person listens for what's wrong and why something won't work.”

Paying attention may just pay you a million!

Click on our Comment link below to share your thoughts 
Click on the Share This button below to Digg, Stumble, Mixx, etc.

Next time, we’ll offer up nine questions to answer before you make extra mortgage payments.

Until then, here’s to your bigg success!

Subscribe to The Bigg Success Show in iTunes. 

Subscribe to the Bigg Success feed.

Related posts  

Get Real Estate

How To Become A Millionaire

Good Debt vs. Bad Debt

6 Factors to Help You Succeed When Opportunity Knocks 

10 replies
  1. Nick Schmidt
    Nick Schmidt says:

    I’m currently taking donations to allow me to become a millionaire. LOL. JK.. Unless you really want to give me money..

    Investment properties are always a good investment. Sometimes, they do better than the stock market. However, again you have to the money 1st in order to invest in them.

    It is good idea if you develop a friendship with a contractor whenever you renovate a new property. I was a contractor for a company in the summer breaks during college. I noticed the good relationship between the owners & contractors. Both parties helped each other advance themselves in that industry.

    Reply
  2. Audio Man
    Audio Man says:

    I wonder whether leveraging into property to such an extreme level is a wise move given the sub-prime property crash we’ve seen. In such, such optimism and enthusiasm about leveraging into property was what created the bubble in the first place.

    Reply
  3. George
    George says:

    Audio Man – You make an interesting point. I would argue that leverage only exacerbated the bigger problem. If I add leverage to any asset where my return is lower than the cost of my mortgage, the only thing that can rescue me is the “greater fool” – someone who pays yet more for an asset that wasn’t worth what I paid for it. That’s exactly what we saw with the “bubble”.

    Reply
  4. Faux
    Faux says:

    I 100% agree with everything this article said. I love the quote “Any self-made millionaire listens for opportunity. The average
    person listens for what’s wrong and why something won’t work.”

    This is so true once you start thinking there are no good opportunites left in the world that don’t need much money you stop seeing them altogther. Another thing in times like now is the best time to invest in your future. When we go into a depression like now, people as a whole get depressed and depression closes your eyes to opportunity. So if you keep your hopes high and stay out off depression there are more opportunites avalible to you cause most every one else is saying how bad it is they miss the opportunity that you easily see. Last but not least don’t run a business idea by a friend. Do your own research and make your own descision about if it’s a viable way to make money. Your friends will tell you how it wouldn’t work and can’t work or someone else would done it before. If everyone thought like that we as a human race would go no where.

    Reply
    • George & Mary-Lynn
      George & Mary-Lynn says:

      Faux, we love your comment on our post! You are right on about staying positive. Too many times, people focus on what they can’t change, rather than looking for and working towards what they CAN change. Thanks so much for adding to the conversation.

      Reply

Trackbacks & Pingbacks

  1. I Don’t Know How to Spell Millionaire, But I is One!…

    4 tips that can lead you to a million dollars….

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published. Required fields are marked *